Gurria: OECD Economies To Shrink 4.2% This Year

Friday, economies in the 30-nation Organization for Economic Co-operation and Development bloc is set to shrink 4.2% this year, Secretary General Angel Gurria said in Paris.

OECD will release its latest growth forecasts on March 31. The Paris-based think tank had earlier forecast an average 0.4% contraction for the bloc.

According to Gurria, the financial crisis had intensified into an economic crisis and now its becoming a human crisis as many are losing their jobs.

With regard to the status of the U. S. dollar, Gurria said the currency will have its ups and downs, but it will continue to be the reserve currency par excellence. His comment came even as Indonesia, Malaysia and Thailand reportedly backed China's call for a global reserve currency, replacing the U.S. dollar.